Johnson: Residents savvy on S.D. wind projects

As more and more wind developers start looking to South Dakota for future projects, landowners are becoming more astute in dealing with potential projects, according to Dusty Johnson, chairman of the South Dakota Public Utilities Commission.
June 11, 2009 by Austin Kaus in The Daily Republic

As more and more wind developers start looking to South Dakota for future projects, landowners are becoming more astute in dealing with potential projects, according to Dusty Johnson, chairman of the South Dakota Public Utilities Commission.

But Johnson said increased savviness isn't the only side effect of dealing with wind farm developers.

"I also think you're starting to see some concerns about aesthetics," Johnson said. "Everybody's excited about the first wind farm in the area. By the time you get to the second and third, concerns start to raise about ‘Is this affecting our landscape more than we want it to?' "

Johnson and PUC Commissioners Steve Kolbeck and Gary Hanson fielded comments and questions about wind energy development Tuesday in Winner. Representatives from Prelude LLC, Denali Energy of South Dakota and Prairie Winds also were in attendance to provide updates on their respective wind projects in the area. Johnson said a representative from ITC also attended to discuss the company's network of transmission lines called the "Green Power Express."

While some are beginning to express concern over the effect of wind towers on the landscape, most landowners are doing well at handling an increasing number of inquiries from wind developers eager to potentially place a tower on South Dakota land. Many are form- ing landowner associations, a decision Johnson said is important.

There are at least three advantages to forming the associations, Johnson said. An association means the hiring of a single attorney, as opposed to one for each landowner.

If only some of the land involved in the association gets selected for tower placement, many associations will disperse the money throughout the association.

An association also makes it easier for the developer, Johnson said.

"They want to deal with one group rather than 100 landowners," Johnson said. "An association allows those continuous parcels of land to move with one developer and I think (that) makes a project a lot more likely to happen."

One of the hottest topics at Tuesday's meeting was an earlier recommendation by the PUC that landowners use scrutiny when dealing with a developer who doesn't offer money up front.

Johnson does not believe developers who don't offer upfront payments to be scam artists, but he does feel it is important for landowners to ask plenty of questions during the negotiation process.

"So many landowners that sign options with wind developers never actually get a turbine on their land," Johnson said. "(For) a lot of people, the only thing they ever get from wind development is that upfront option money."

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